SEOUL, Nov. 16 (Xinhua) -- South Korea has signed a standing currency swap deal with Canada without any limits on maturity and amount, Seoul's central bank said Thursday.
Bank of Korea (BOK) Governor Lee Ju-yeol inked the deal with his Canadian counterpart Stephen Poloz at the Bank of Canada's head office in Ottawa Wednesday, according to the BOK press release.
The agreement to exchange the South Korean won for the Canadian dollar took effect immediately.
It is a standing currency swap deal having neither maturity nor amount ceiling. The maturity and amount would be decided upon by the two central banks after discussions.
It marked the first time that South Korea signed such a standing currency agreement.
Under the deal, South Korea can borrow the Canadian dollars in emergency situations in return for providing South Korea's currency.
